Beachwalk is a successful real estate development just off the shores of Lake Michigan in Michigan City, Indiana. Since the early 2000s, the developer constructed approximately 250 homes in this master-planned community. With several phases left to complete, and over 30 acres of undeveloped land, the developer overextended himself and was unable to complete the development.
Following years of trouble, the developer filed bankruptcy in the Northern District of Indiana. The case was converted to a Chapter 7 sale and a trustee was appointed. Our team was retained by the Federal Bankruptcy Trustee to evaluate the real estate and present an orderly disposition/ liquidation strategy.
Following the evaluation of the assets, our team met with the parties, including the local municipality, three separate lenders, and the homeowners association, and recommended a disposition strategy that would maximize recovery and achieve the best goals for all parties involved. The structured disposition process resulted in dividing the property into over 20 parcels, and selling all the assets in a live open-outcry auction. The properties were sold to end users, investors, developers, and builders.